Abstract

Using actual purchase data of food products with different labels, we examine Dutch consumers' purchases of organic, fair-trade, and health labels. Empirically, consumers' purchase behavior of labeled products can be categorized into two dimensions: a health-related and a sustainable dimension comprising the purchase of organic and fair-trade products. Using latent class analysis, we find four segments that differ in their purchase behavior of the studied labels. While one segment comprising the majority of consumers mainly purchases conventional products, a somewhat smaller segment purchases products with health labels. A third segment containing approximately 10% of consumers purchases products with both health and sustainable labels; these consumers tend to consider the future consequences of their behavior and have higher biospheric values. The fourth segment is also small, purchases sustainable labels, has strong biospheric values, and largely considers the future consequences of current behavior; it is also less price conscious.